European stocks traded in a tight range near their strongest point since July 2007, while the investors are waiting for the US payrolls data. The Stoxx Europe 600 Index added 0.1% to 393.81 as of 8:08 a.m. London time, heading for its biggest gain in two days since January, amid the ECB's commitment to start purchasing bonds next week.
The US claims for jobless insurance climbed last week to their nine-month high, reinforcing the view that harsh winter weather could stall the labour market's development. US initial claims rose by 7,000 to 320,000 at February 28, building on a surprisingly large 31,000 increase to 313,000. The increase defied market expectations for claims to slid to 295,000.
The Euro zone economic recovery is gaining momentum, reinforcing the view the continuing economic improvement is likely to stir debate about the end of the massive government bond purchasing programme. Consumer prices in the Euro-area lost 0.3% in February, which is a half of the previous month change and less than economists estimated. Moreover, unemployment fell to 11.2% in January,
The UK natural gas prices, Europe's largest trading market, fell for a third day, when Ukraine and Russia reached an agreement on payment conditions of fuel supplies in March. Gas in the UK for April settlement fell 2.2%, touching the weakest level since February 24 during the London ICE Futures Europe exchange.
The Ruble closed its second day decline, while Russian bonds and stocks enjoyed stronger demand, since oil price returned up to $60 a barrel, thus enhancing the sentiment. In the meantime, Morgan Stanley lowered expectations on the rally. The Russian currency strengthened 1% to 62 versus the Dollar, while Brent oil recovered from the biggest drop in a month.
European stocks declined for a second day amid the drop in energy and Barclays Plc shares. The Stoxx Europe 600 Index slid 0.3% to 390.31 as of 1:32 p.m. London time, paring previous 0.3% gains. Meanwhile, Barclays Plc lost 2.7%, while Galp Energia SGPS and Royal Dutch Shell Plc dropped around 2%, pulling energy shares to the weakest productivity amid
Gas and oil companies are going to spend around $450 billion in order to buy each other in 2015, since poor valuations caused by oil price collapse encourage acquisitions and mergers, said A.T. Kearney's consultants. Brent crude dropped 48% previous year on a surge of North American oil supply and OPEC denial to cut its production.
European stocks declined from their strongest point since 2007, when a drop in chemical shares at the head with BASF SE outbalanced surprisingly strong financial results from businesses. The Stoxx Europe 600 Index fell 0.2% to 389.75 as of 11:33 a.m. London time, but it climbed 6.2% in February, heading to a 14% gain this year on Greece bailout deal
Sweden's Krona gained after a report was released indicating the largest Nordic economy developed much faster than it was expected within the last quarter. Data showed Swedish GDP expanded 1.1% in Q4, compared to a 0.5% estimate. The Krona appreciated 0.6% to be at 9.3566 versus the Euro at 11:07 a.m. in Stockholm, and gained 0.8% to 8.3391 against the
Japanese stocks advanced, spurring the Topix index to a seven-year record, after increase in energy extraction due to strong rise in fuel prices. Crude explorer Inpex Corporation added 3.3%, while Yamada Denki Co. soared 5.2%. Meanwhile, the Topix index slightly increased 0.9% to 1,521.68 level, posting its biggest gains since December 2007.
Gold rebounds from seven-week lows, since Chinese traders returned from the Lunar New Year holiday, while investors is assessing the possibility of Fed's rate hike before US inflation data. Precious metals added 0.7% to $1,213.23 per ounce. Gold slightly climbed 0.4% on Wednesday, showing gains from a seven-week deep of $1,190.52.
Currency volatility head for its sharpest weekly slide since 2010, as Federal Reserve Chair Janet Yellen announced on Wednesday, that the central bank is not going to raise rates in the near future. The Bloomberg Dollar Spot index, a currency gauge against 10 major peers, was slightly changed at 1,163.49 from 1,163.13 level. Meanwhile, before Yellen's speech, the gauge rose
The impact of the plunged crude prices on Japan is not as obvious as for the other countries, since the Yen dropped to seven-year lows. The prices for Brent crude oil decreased around 4% since June, while gasoline, in turn, dropped 11% in Japan. The Yen has lost more than 14% versus the Dollar, thereby accelerating rise of prices for
The Chinese government is going to decrease down-payment for a second real estate purchase and to remove the sales tax, if the home-owner held the estate for two years, compared to the previous five-year minimum. The decision comes after prices for new buildings posted a record drop in January.
Asian shares rose on Wednesday, prolonging five-month gains, as Federal Reserve Chair Janet Yellen announced that the Fed is not going to raise interest rates in the next three months. Therefore, the MSCI Asia index added 0.6% to trade at 146.20 level in Hong Kong showing its biggest gains since September 12. The Kospi index and Taiwan's Taiex index, in
The Euro depreciated, while Europe's stock benchmark reached the highest level in seven years before talks on Greek's funding. Europe's shared currency declined against all but one 16 major peers, weakening 0.2% to $1.1343 as of 10:16 a.m. London time.
Gold futures appreciated the most this month, as the minutes from the Fed's last meeting indicated some officials are wary of negative effects in case the monetary authority rushes with an interest rate hike. Bullion futures for April settlement rose 0.6% to $1,207.60 an ounce as of 1:45 p.m. in New York, posting the biggest climb since January 30.
The Dollar stays strong, as the market participants believe the Federal Reserve is likely to increase interest rates in 2015. The Greenback trades in a tight range, staying little changed around $1.1365 against the Euro at 8:46 a.m. in Tokyo. The US currency strengthened 0.1% to 119.03 versus the Yen, extending a 0.1% Thursday gain.
European stocks traded in a tight range as Euro zone finance ministers prepared for Brussel's meeting in order to find an agreement on Greece's bailout. The Stoxx Europe 600 Index dropped 0.1% to 381.04 as of 8:03 a.m. London time, while previously the shares reached out to the seven-year high amid optimism over Greek debt agreement. Meanwhile, the ASE Index
The Japanese economy is struggling, as inflation equals a quarter of the BoJ target, while wages continue its negative tendency. However, the demand for luxury products reached a 15-year record. The department stores sold luxury goods for around 333 billion yen, 20% higher than in 2012.The general reason for this tendency is a widening income gap of Japanese consumers.
Fewer Americans filed applications for unemployment benefits. The amount of jobless claims slipped 21,000 to 283,000 for the week ended February 14. People became more optimistic in February, concerning the economic outlook, due to plunge in oil prices and an increase in payroll gains. Meanwhile, consumers should be engaged, in order to help the US economy overcome stagnation in manufacturing.
Oil prices fell on Thursday, as US inventories were supposed to reach new highs. Moreover, possible increase in Saudi crude output raised new concerns regarding fuel supply surplus. Brent crude for March plunged around 3% to trade at $50.23 per barrel, almost 2 dollars down compared to the levels seen on Wednesday. Crude for April slipped to $59.54 per barrel.
Japanese exports surged in January due to strong demand from Asia and the US, providing evidence that the world's third largest economy is escaping recession. Exports rose by 17% on a yearly basis last month, exceeding the forecasts of 13.5%. Meanwhile, import dropped 9% from a year earlier, curbing the trade shortage to 1.2 trillion yen.
European stocks climbed, reaching the highest level in seven years on speculation Greece may reach an agreement with the creditors. The Stoxx Europe 600 Index rose 0.8% to 379.84 as of 3:06 p.m. London time and it is trading at the strongest level starting from November 2007. The FTSE 100 Index declined, while 17 western-European markets gained among 18.